KEY POINTS:
Forget the buildings - this place's value is in the site.
So says Sharon Hall, an agent at Bayleys Mt Maunganui, in marketing a humble Papamoa bach at a stellar price.
In asking $1,650,000 for what appears to be a completely meek and modest place, she said the price tag was not out of step with recent sales.
A neighbouring property had fetched $2.1 million recently and had an older-style house on it, she said.
"This site is just magnificent," she said.
A set of double doors open out to breath-taking views. Steps lead from the property directly on to the sand.
It is one of the last properties available for development in the area, the agent said, and with a similar nearby bach going for $1.8 million, it might almost be a bargain.
However, it failed to sell at auction on December 5.
Advertising is certainly short and snappy, with few frills: "Kiwi bach original. Potential growth area. Well presented."
QV shows Tauranga District values the property at $1,050,000 for rating purposes, with its buildings worth just $25,000.
Looking back, the property has a sales history which indicated at least one owner saw big potential there.
The property sold in 1994 for $160,000, then again a year later for almost double at $290,000. That owner then held it for a decade and did well. The bach last sold two years ago for $1.5 million, giving the previous owner a $1.2 million profit.
Pluses cited in the bach's marketing campaign include the fully-fenced section, the garage's automatic door and the barbecue.
Real Estate Institute figures released in mid-December showed the area's escalating popularity.
The median price for a house in the Mt Maunganui/Papamoa area rose from $402,500 in October to $445,000 in November, it said.
The Property
* 23 Karewa Parade, Papamoa.
* Fibrolite bach of 60sq m.
* Garage on rear of section.
* Site of 607sq m.
* Asking $1,650,000.
